850 Council Job Cuts Planned

Hundreds of staff at Oldham Council may lose their jobs as details of financial crisis has been announced.

Around 850 staff at Oldham council were given the shocking news as it emerged the authority is tackling a budget deficit of more than £17 million.

Councillors and senior officers at the Liberal Democrat controlled council met with union representatives today to let them know the jobs may be axed under budget options being considered for the next financial year.

The council said it would try and minimise the need for any compulsory redundancies.

Council leader Howard Sykes said the figure was indeed "significant" and staff would be concerned. But he added the potential cuts were part of a "package of options".

He added: "The key word is potential and that is precisely what it is at this early stage of the budget planning process. The fact is that the Council has to find £17.3 million of savings to balance next year's budget.

"Staffing costs, like those of a lot of other councils up and down the country, are a big part of our overall budget, so it is inevitable that we should explore the potential for savings in this area."

He added: "They are part of a package of options where we are also looking to reduce the amount of accommodation. We are also looking to find other major efficiency savings to bridge the gap.

"The proposed savings are critical in our efforts to provide the Borough's residents with the value for money services they quite rightly expect.

"They will enable us to go forward with the important regeneration and renewal work of our Borough."

Phil Woolas, Labour MP for Oldham East and Saddleworth is to meet with council bosses today to discuss the proposals.

He said he finds the situation "staggering" considering Oldham Council is given "one of the best settlements from central government of anywhere in the country".

(JM)